The following balances were taken from the books of Parnevik Corp. on December 31, 2012.

Assume the total effective tax rate on all items is 34%.InstructionsPrepare a multiple-step income statement; 100,000 shares of common stock were outstanding during theyear.

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$ 28,000 155,000 194.000 170.000 100,000 97,000 86,000 Accumulated depreciation-buildings Interest revenue Cash Sales revenue Accounts receivable Prepaid insurance Sales returns and allowances Allowance for doubtful accounts Sales discounts Land Equipment Buildings Cost of goods sold Accumulated depreciation-equipment Notes receivable 1,280,000 Selling expenses 150,000 Accounts payable 20,000 Bonds payable 150,000 Office expenses 7,000 Accrued liabilities 32,000 45,000 Interest expense 100,000 Notes payable 200,000 Loss from earthquake damage 140,000 621.000 Common stock 40,000 Retained earnings 60,000 100,000 (extraordinary item) 120,000 500,000 21,000